Penfolds continues to be the great strength of Treasury Wine Estates which reported a net profit of $470.6 million – up 15.5 percent – for the 2025 financial year.
Earnings from Penfolds rose 13 percent to $477 million, reflecting continued strong growth in China and other Asian markets.
TWE says the company “delivered growth against economic and category headwinds” in a number of markets, enabled by the luxury-led focus.
However, Treasury Premium Brands fell 27.6 percent in earnings to $55.1 million.
Treasury Americas – which includes the Paso Robles luxury brand DAOU acquired for $1.6 billion in October 2023 – had a 33.9 percent lift in earnings to $308.6 millon.
TWE says DAOU continues to strengthen its position and outperform the US luxury wine market. “With a clear priority within Treasury Americas to grow distribution and availability across the portfolio,” Treasury says.
Penfolds has restored its position as a leader in the China wine market with a share of 7.3 percent and 13.3 respectively in offline retail and e-commerce.
An expanding distribution network now sees Penfolds’ core portfolio in about 12,000 outlets across liquor store, retail and on-premise channels in China.
The company says alcohol consumption behaviour is changing in China.
“Since June there has been a shift in alcohol consumption behaviour as preferences and occasions evolve from large-scale banqueting to smaller scale business and lifestyle-oriented occasions,” it says.
TWE chief executive officer Tim Ford – who after a 14-year career with the company will be replaced in a few weeks by Sam Fischer from Lion – said thta overall he was pleased with TWE’s fiscal 25 performance.
“While we continued to face headwinds in a number of markets, we remained laser-focused on executing our business plans, further strengthening the business for long-term growth and achieving strong financial performance, underpinned by Penfolds’ continued momentum and integrating DAOU into our Luxury portfolio,” he said.
“We also completed transitioning to our new Luxury portfolio-led operating model, a structural evolution that enhances our strategic clarity and positions us well for the future.
“I am incredibly proud of the transformation we’ve delivered over the past five years and want to thank our people for their passion, resilience and commitment to delivering on our strategy.
“I am confident that the team and the business is entering fiscal 26 well positioned to harness the attractive opportunities in the Luxury wine category.”
TWE forecasts another year of earnings growth in the 2026 financial year.
The company’s share price has almost halved in the past two years – down from $14.64 on 3 February 2023 to $7.69 at the time of writing on Wednesday 13 August 2025.
The share price hit a high of $18.97 on 20 September 2019.
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